GOLD PER TOLA RATE IN PAKISTAN: Gold prices experienced a significant surge on Friday, with the price of 24 karat gold per tola rate in Pakistan increased by Rs.2,400 to reach Rs.257,300. This marks a notable rise from the previous trading day’s price of Rs.254,900. Similarly, the price of 10 grams of 24 karat gold also saw an increase, climbing by Rs.2,057 to Rs.220,593. The price of 10 gram 22 karat gold rose to Rs.202,210 from Rs.200,324, according to the All Sindh Sarafa Jewellers Association.
The increase in gold prices is reflective of broader market trends and global economic factors. In the international market, gold prices rose by $26, reaching $2,458 from the previous level of $2,432. The precious metal has continued to gain strength, with investors seeking a safe haven amidst ongoing global tensions and economic uncertainty.
Market Influences: US Economic Data and Geopolitical Tensions
Gold prices have been bolstered by a combination of economic and geopolitical factors. In the European trading session on Friday, gold price (XAU/USD) exhibited strong performance ahead of the highly anticipated US Nonfarm Payrolls (NFP) data for July. Scheduled for release at 12:30 GMT, this data is expected to provide critical insights into the current state of the US labor market and its potential influence on the Federal Reserve’s monetary policy.
Market analysts are anticipating that the NFP report will reveal the addition of 175,000 new jobs in July, a decrease from the previous month’s figure of 206,000. The Unemployment Rate is expected to remain stable at 4.1%. Additionally, the report will include data on Average Hourly Earnings, a key indicator of wage growth that impacts consumer spending and inflation. If the data reflects weaker-than-expected wage growth, it could increase the likelihood of a rate cut by the Federal Reserve in September.
Beyond economic indicators, geopolitical tensions are also playing a significant role in driving gold prices higher. The ongoing conflict between Iran and Israel has intensified, with Iran vowing to retaliate after an Israeli air strike in Tehran resulted in the death of Hamas leader Ismail Haniyeh. These developments have heightened the safe-haven appeal of gold as investors seek to mitigate risk.
Technical Analysis and Future Outlook
From a technical perspective, gold prices are currently trading within a channel pattern on a daily timeframe. The 50-day Exponential Moving Average (EMA) near $2,370 has been providing strong support to the bullish momentum. The 14-day Relative Strength Index (RSI) has also moved higher to near 60.00, indicating potential for further gains if it crosses this level.
A key resistance level to watch is the all-time high of $2,483.75. A break above this level could propel gold prices into uncharted territory, offering potential for further upside. On the downside, the upward-sloping trendline at $2,225, drawn from the October 6 low near $1,810.50, will serve as a significant support level in the longer term.
Silver Prices Hold Steady
While gold prices have seen a significant increase, the price of silver has remained unchanged. The price of per tola and 10 grams of silver stood at Rs.2,900 and Rs.2,486.28, respectively.
